Effective November 4, 2013, FINRA will require firms to report OTC trades in equity securities within 10 seconds of execution. Firms must also report cancellations of trades within 10 seconds.
Note that trades should be reported “as soon as practicable.” 10 seconds is the cut-off after which the trade report will be considered late. FINRA recognizes, however, that certain trade reports may need to be entered manually – in these situations, FINRA will consider the complexity and size of the trade in determining whether there is “reasonable justification” for manually entering the trade report.
This alert applies to the Series 24, Series 55, and Series 62.